Key Details
The Committee’s ten recommendations form a connected proposal for a national bus grid, covering permits, terminals, digital services, safety, fleet renewal, inclusion, tourism, funding, State performance and passenger data.
Reform Pillar | Committee’s Proposals |
|---|---|
Permits and State enforcement | Replace the All India Tourist Permit with an All India Passenger Permit; end remaining border check posts; publish an annual ranking of States on bus-transport facilitation |
Terminals and funding | Establish a dedicated terminals authority, require non-discriminatory access and create a separate budget provision for bus infrastructure |
Digital systems and data | Introduce live tracking, unified booking, passenger ratings and geo-tagged complaints; reconcile fleet figures and conduct a periodic passenger count |
Safety and inclusion | Strengthen fitness testing and operator safety ratings; make emergency systems functional; expand services and facilities for women |
Fleet and tourism | Develop leasing-based fleet renewal, electric-bus charging and end-of-life systems; create an integrated National Tourist Bus Grid |
These are committee recommendations, not approved government measures. Many require agreement with State Governments because bus operations and permits involve divided responsibilities.
Private Operators Dominate a Publicly Regulated Service
Official data identify about 4.4 lakh registered and fit buses, of which roughly 3.3 lakh — or 75% — are privately owned. Yet private operators often lack equal access to public terminals, face differing State rules and receive limited support for fleet renewal.
The Committee therefore argues that public transport policy should cover all passenger buses, regardless of ownership.
The official fleet count is itself incomplete: Telangana does not report to VAHAN and some vehicle categories are excluded. The Committee recommends a consolidated national count by bus type and ownership.
A National Passenger Permit Could Replace the Tourist-Permit Regime
The All India Tourist Permit has become a source of interstate disputes over passenger pick-up, terminal access, taxation and whether buses are effectively operating as stage carriages.
The Committee recommends replacing it within one year with an All India Passenger Permit that clearly specifies permitted routes, stops and passenger boarding across States. Electronic verification through VAHAN, FASTag and vehicle-location data could make operations traceable while reducing discretionary roadside enforcement.
It also recommends ending remaining border check posts and clarifying insurance rules so that permit disputes do not affect accident claims.
Terminals and Data Would Form a Common National Network
The Committee proposes treating bus terminals as shared transport infrastructure, separating terminal ownership from bus operation. Publicly owned terminals would provide non-discriminatory access to licensed public and private buses against user charges.
A proposed National Bus Terminals Authority and National Code for Bus Terminals would establish common passenger, accessibility and safety standards. Public-private partnerships could support terminals and intermodal hubs.
Alongside physical infrastructure, a National Bus Digital Grid would integrate:
live vehicle tracking and route data;
public and private ticketing and passenger information;
data on punctuality and actual stopping points; and
passenger ratings and geo-tagged safety complaints.
States could retain their databases while following common interoperability standards.
Safety Regulation Must Reach the Existing Fleet
New safety standards largely apply to newly manufactured buses, leaving much of the existing fleet dependent on periodic fitness inspections. The Committee notes that only 142 Automated Testing Stations across 17 States were available in the evidence before it.
It recommends expanding testing capacity and strengthening checks of fire protection, emergency exits and alert systems. Emergency buttons should also be connected to functioning response centres rather than merely installed in vehicles.
An operator-level safety rating could link permit renewal to overall maintenance and safety performance, not just individual vehicle certification.
Fleet Renewal Needs Finance as Well as Regulation
All 21,074 registered buses over 15 years old identified in the report were privately owned, while only 888 of the 13,710 buses scrapped under the available programme were private.
The Committee links this gap to weak scrappage incentives and financing constraints for small operators. It proposes leasing models for bus replacement, alongside coordinated procurement, charging infrastructure and transition targets for electric buses.
For EVs, it also seeks an end-of-life framework for buses and batteries within one year.
The Wider Reform Agenda Covers Passenger Experience
Other recommendations include:
women-focused peak-hour services with women drivers and staff;
functioning CCTV and emergency-response systems;
better sanitation at overnight halts and eventual on-board toilet standards;
integrated tourist circuits connecting buses with rail, metro, airports and waterways;
a dedicated Union budget provision for terminals, depots, charging and testing infrastructure;
an annual State ranking on bus-transport facilitation; and
regular official estimates of bus passenger volumes.
The common thread is a shift from regulating individual buses and permits towards building an integrated national bus-transport system spanning operators, terminals, data, safety and fleet renewal.
Policy Relevance
Regulation must reflect market structure: Private operators carry a large share of passengers and need to be integrated into common permits, terminals and digital systems.
Electronic enforcement can reduce discretion: Verified route and permit data can address both operator misuse and arbitrary roadside action.
Infrastructure matters alongside vehicles: Terminals, bus bays, testing stations and charging facilities determine the quality and safety of services.
Existing fleets need attention: Prospective manufacturing standards cannot protect passengers travelling in older buses unless fitness and retrofit systems improve.
Federal coordination is essential: Union standards will have limited effect without adoption by States responsible for permits, enforcement and many terminals.
Better data should precede major funding decisions: Reliable fleet and passenger counts are necessary for planning routes, infrastructure and budget allocations.
Follow the Full Report Here: 392nd Report of the Department-related Parliamentary Standing Committee on Transport, Tourism and Culture, “Enabling Inclusive, Digital and Sustainable Bus Transport”